Google is Buying Provo's Existing Fiber Network for a Dollar

Earlier this week, Google named Provo, Utah as the third Google Fiber City. Part of the deal was that Google would have to buy iProvo, an existing fiber-optic network owned by the city. As per the agreement, Google will upgrade the existing network to Gigabit technology and finish the network construction originally started by the city. Today, a little more information emerged about the financial side of the deal.

The Associated Press reports that Google will purchase Provo's iProvo network for just one dollar. According to the AP, Provo will be paying off loans on the $39 million network for 12 years to come. Google will purchase the network for the princely sum of $1 and offer residents of Provo, Utah internet free of charge following a $30 connection fee.

Google's upgrades to the network will involve replacing infrastructure put in place by Provo, and Deputy Mayor Corey Norman estimates that it will cost Google around $30 million to finish. Pricing for customers in Kansas City (and soon Austin) is a bit different. Right now, Kansas City's Internet + TV package is $120 a month, while the Internet Only package is $70 per month. Customers can avail of free internet if they pay a $300 construction fee.

Google's agreement with Provo isn't final just yet. It's pending approval from Provo City Council. A vote is scheduled for next Tuesday, April 23, so we'll keep you posted!